The QV Property comprises 523 claims over 10,263 hectares 70 kilometres south of Dawson City. Comstock has also earned a 60% interest in the Corona Gold-Silver Project in Mexico and may earn an additional 15% interest from Golden Goliath Resources Ltd V.GNG by completing a positive bankable feasibility study by December 31, 2017.
President/CEO Rasool Mohammad spoke to Kevin Michael Grace October 11.

RW: You must be quite pleased with these results at QV.

RM: Indeed we are! It’s a brand new discovery right next to a multimillion-ounce project.

RW: Did you have any indication beforehand that you were likely to get such good results?

RM: No, we started fresh. When I got this property from the Yukon prospector, Sean Ryan, he had about 62 soil samples on the property. I looked at the data, and the highest gold number was 20 parts per billion. In other words, 0.02 grams per tonne. But the samples had really high pathfinder elements—high arsenic, mercury, barium and molybdenum, which are found in association with gold. So I realized we must be close to a gold system.

RW: You’re close to Kinross’ T.K Golden Saddle Project and Kaminak’s V.KAM Coffee Project. Can you talk about the significance of that?

RM: Golden Saddle is 10 kilometres to the south of us, and Kaminak is 40 kilometres to the south. The significance of the QV Project is that it’s found in the same host rock. The structural orientation is the same, and the mineralogy appears to be the same. One positive thing about QV is that there is shallow dipping to the northwest. It’s a 30-degree dip, and so that’s an ideal open-pittable dip for a low stripping ratio. QV and Golden Saddle are similarly expressed in the geophysics.

RW: You drilled eight holes and got two back?

RM: Yes, it was a short work period as you can imagine. We’ve drilled 1,334 metres and hit the structure, the mineralized zone in every single hole. So we have broader zones, mineralization near the surface, and within that you have high-grade structures that can be potentially mined underground. It’s an incredible discovery. As we kept drilling we realized how the structure is behaving and where the better deformation zone is. And as you go down the dip, your mineralization zone gets wider and richer as you go deeper.

RW: When can we expect the release of the other six assays?

RM: Holes 3, 4 and 5 should be coming in the next 10 days to two weeks. Then Holes 6, 7 and 8 in another 10 days to two weeks. We also did additional trenches, additional soil sampling and staked another 183 claims to the north and northwest because the soil anomalies we found were going beyond the property limits.

RW: When’s the next round of drilling at QV?[pullquote] The existing zone [at QV] does have the potential to hold a decent number of ounces, and we’re very excited about the potential of finding more zones”—Rasool Mohammad[/pullquote]

RM: Right now we’re shut down for winter. We’ll be looking at all this data we’ve collected over the summer. By then end of November or middle of December we should have all our data released to the public. Also, we have the Corona project in Mexico, and we’ll be going there around Christmas.

Then come March, we’ll be looking at another 5,000 metres on QV. We also have another project to the southeast of Kaminak, Walhalla. We have soil samples there up to 2, 3 and 6 grams with copper values, so that’s quite an exciting project. Next year, we’ll be trenching it and getting it drill ready.

RW: How much cash do you have? What is your current burn rate?

RM: We have over $2 million, and when we’re not drilling, our burn rate is just below $30,000 a month.

RW: Does this discovery at QV mean that Comstock will shift resources there?

RM: It’s becoming our flagship project. There is no doubt about that. The existing zone does have the potential to hold a decent number of ounces, and we’re very excited about the potential of finding more zones.

RW: What are your plans for the next two years?

RM: Drill, drill and drill. The White Gold District is very prolific, and we’re just starting to scratch the surface there.

At press time, Comstock had 64.1 million shares trading at $0.36 for a market cap of $23.1 million.

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